New owner says TGJones name is ‘worthy successor’ for 230-year-old retailer
WHSmith’s new owner Modella Capital has said its rebrand of the High Street retail chain to TGJones will retain the family feel, while it also plans to keep the post office and Toys R Us store-in-store outlets.
“TGJones feels like a worthy successor to the WHSmith brand,” a Modella spokesperson said of the made-up name that it’s hoping will take the company forward. “Jones carries the same sense of family and reflects these stores being at the heart of everyone’s High Street.”
The private equity firm based in London’s Regent Street – which describes itself as specialist retail and consumer investment boutique – was revealed early on Friday, 28 March, as the winner of the race to take on the 500 stores in a relatively-cheap £76million deal after WHSmith decided to sell the High Street arm to concentrate on its worldwide travel business.
Although the division, where greeting cards and gift wrap make up a significant chunk of sales along with stationery, books and convenience items, has remained profitable – it turned over a £32million profit in the trading year to August 2024 from sales of £452m – according to the Times, Modella is known to specialise in buying and restructuring distressed retailers, and bought Hobbycraft in August 2024 followed by The Original Factory Shop group in February, and is tipped as a potential buyer for Lakeland.
The deal does not include the Funkypigeon.com online personalised greetings platform, although the group is looking at options for this division, which may include a sale, as it concentrates on its “strategic ambition to become the leading global travel retailer” and is keen to expand its portfolio of over 1,200 outlets in 32 countries, including at UK railway stations and hospitals, which will continue under the WHS name.
The company expressed confidence in the future of the 233-year-old retailer and outlined plans to introduce new product ranges and services in the near future, working closely with the existing management team to drive the business forward.
Apparently, an internal email to staff has revealed Modella has “chosen to keep the blue and white brand colours which you will all be familiar with”, for “a sense of reassuring continuity”.
The Modella spokesperson added “We are delighted to welcome the WHSmith High Street business into our portfolio. With a rich heritage and prime locations across the UK, we see great potential in evolving the TGJones brand to meet the changing needs of consumers while staying true to its community roots.”
“There will be a handover period in the immediate term, and it is very much business as usual whilst we work closely with the management team to define and execute a strategy to introduce new ranges and other offerings in the future.”
TGJones will be headed up by the High Street division’s current MD Sean Toal, becoming the new chief executive who added: “Selling the High Street business has been a significant milestone for the WHSmith group, and I am delighted that we have agreed a sale with Modella Capital who, I know, will be supportive new owners.
“I’m incredibly proud of everything we’ve achieved as a High Street team and this next chapter presents exciting opportunities for growth, innovation, and continued success for the business and our talented colleagues.
“I have every confidence that under Modella’s leadership, the business will go from strength to strength, and I look forward to all that we can achieve together in the future.”
However, there have been some questions over the new name, with The Guardian reporting that branding experts fear it will go the way of failed rebrands such as New Coke, Royal Mail’s short-lived change to Consignia, and fund manager Aberdeen’s much-mocked shortening to Abrdn which lasted just four years before regaining the missing vowels last month.
